First off, I would like to apologize about not posting the FCPO for this morning. That is because by the time I finish the FKLI post, the market is about ready to open and I don't have time to sit here and type wor..
So.. Maybe I will just post the weekly updates including those of the 4 CME grains that we are tracking, ok? If you have any special request regarding FCPO then you can pm me and let me know lah..
Alright lets proceed to the daily summary:
----------
What an interesting day we had today!
This is the Daily Chart for the FKLI April contract.
We traded to the following levels today:
Opened 1590.50 from 1591.50 the previous day
High 1598.50
Low 1586.00
Close 1590.00
Our levels for this morning was:
April FKLI levels:
Upper Resistance: 1595 and 1603
Lower Support: 1588, 1585, 1580
So we started the morning trading at a high of 90.50 and a low of 87.50 where our first support level of 88 was.
Then we went broke lower to test the LOWER MAJOR trend line below at 85. Now here I would like to emphasize the the word LOWER MAJOR Trend line. For both the benefit of all of you readers and especially to myself.
It is called a major trend line for a reason.. it is expected that there will be strong support here and we have the convergence of the 20EMA here too! So any plans to short here would entails all the same risk as trying to stand in front of an on coming train blindfolded with ear bud in your ears. You know the train is gonna come anytime.. you just don't know when!
After buyers saw a large order waiting at 1585.00, prices immediately started to recover from the lows of 86 excluding the fact that the Cash index remained down at the same time.
Then we went up to test the highs of 90.50 and traded there in a range for a period of time between 89.50 and 91. I have a fellow trader Teo, taking advantage of the next situation.
After the range of 91 and 89.50 has been identified, we consolidated there for close to 2 hours.. He set a buy stop at 92 and a sell stop at 88. By doing so, he was poised to take advantage of the price whichever way it breaks. And break it did! We continued upwards to test our first resistance level of 1595. Then a big seller appeared on screen at 1596 which quickly prompted a quick sell of to test the 91.50-92 level. From there when it was clear that the sellers couldn't push this down, we proceed to make a new highs of 98.50 in quick succession which took my friend's target of 96 on the way up. Good trade indeed!
After touching the high, it became clearer that buyers was not able to push this further and the selling orders started to increase. Please refer to the orders levels below:
So sellers started to pile on the pressure at the 98s range we proceed to sell off to a low of 88 before closing at 1590.
So we really had an eventful day which had market for both of the buyers and sellers. I am looking forward to what's in store for us in the US market tonight. As of now in pre-market, we have touched a low of 1384 for the S&P futures contract. If the Unemployment numbers come out good tonight, we should recover some of these losses while an unexpected larger claims will send this further down.
I will update again when there are any new info.
Till then, ciao all!
Best Regards,
Tech Trader
No comments:
Post a Comment